Home-Delivery Promotions Guidebook—Canadian Newspapers

Apartment Programs

An apartment program is defined as a situation when a subscription to the newspaper is included with the cost of the monthly apartment rent, but where the tenant may receive a refund of the subscription value if the subscription is declined.

Qualification

For the subscription copies included with the monthly apartment rent, the lease (or lease addendum) for the apartment must:

• State the term (monthly) and frequency of the subscription.
• State the amount of the rent per month allocated to the subscription (subscription value).
• Ask the tenant if they wish to receive the subscription (yes and no response options).
• State that if the subscription is declined, a refund for the subscription value will be provided.
• Exclude any reference to the subscription as being free, no additional cost, bonus, or other synonymous language.

Pricing

The subscription value must be at least one cent, net of all considerations.

Promotional Material

The promotional material is the lease addendum. Therefore, it must comply with the requirements stated above.

Example—Apartment Programs

Reporting

Circulation generated from apartment programs is classified as Home Delivery—Sales with Other Services on the ABC Publisher’s Statement.

Canadian Publisher's Statements delineate between circulation sold at 50 percent or more of basic price, and circulation sold at less than 50 percent of basic prices.

The price classificatin for apartment program subscriptions is based on the amount of the monthly rent stated on the lease addendum as allocated for the subscription (also equates to the refund value).

• If the amount allocated for the subscription is 50 percent or more of basic prices, the circulation is included in Paragraph 1A.
  
  
• If the amount allocated for the subscription is less than 50 percent of basic prices, the circulation is included in Paragraph 1B, with further disclosure in Paragraph 1G.

In Paragraph 2, the circulation is classified in the proper reporting zone based on where the copies are delivered to the subscriber.

Paragraph 8 will provide an explanation of the apartment program including that subscriptions were sold in conjunction with apartment leases, the renter was given the opportunity to decline the subscription and if declined, the purchase price was refunded. It will also state the average number of copies included in paid circulation that were sold in this manner.

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